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8 tips to keep you sharp over the weekend!Tomorrow is Christmas eve, the general markets will be closed, of course crypto will still be rocking and rolling, but the CFD markets will be shut. In day trading it is very easy to get rusty, a few days will do the trick, so with a 3 day weekend approaching we wanted to use this time to help you stay on track so you remain "hot" for the last trading week of 2021! For those of you who will be celebrating Christmas, you will be busy Friday and Saturday, but we're sure you can find a cheeky hour on Sunday to work on yourself, since the weekend is the perfect time to grind, and do things such as reviewing your trades, seeing which assets moved the most and why (so you can take advantage of these situations in the future). Today's blog topic will be guidance on what you could work on this weekend to keep yourself hot and not get rusty! "DO OR DO NOT, THERE IS NO TRY." - YODA 1. THINK HOW CAN YOU IMPROVE YOUR PATIENCE – Having patience as a day trader will help in many ways, one of them being better entries, since entries are directly connected to our PnL it is then a vital skill to acquire, think what you could do to become a more patient trader and create a plan for the new week and apply it on your first opportunity! 2. REVIEW THE MAIN MOVERS THIS WEEK/MONTH – Every successful person, whatever industry it may-be practices a lot, the best way we trades get to practice is to review the charts and see what you could have done to profit in the new week by learning what you missed the week before 3. REVIEW YOUR RULES (PROCESS / ENTRY / EXIT / WATCHLIST) – Always helpful to read over and reevaluate your trading rules, it is a very underrate process, and because the majority of traders do not review their rules and processes they generally do not know what they are nor do they apply them! 4. VISUALIZE SUCCESS AND CHALLENGES – Visualize yourself making good/great trades. see yourself going through different scenarios and achieving the profits you seek. From seeing the perfect setup to executing the trade to exiting the trade, every aspect of trading, see it and feel it. Then also review the challenges you face as a trader, I'm sure you can think of dozens of them! 5. THINK HOW CAN YOU MAKE ONE A+ TRADE AT A TIME - Work on your entry process and criteria, know what the BEST TRADES look like, write it up! So when they show up you can execute with a larger size and maybe bank a much bigger profit than normally. 6. TALK TO EXPERIENCED TRADERS – It is very helpful to get ideas and see what these traders are doing, there is always something for you to learn, even when you become a millionaire trader, you'll still have so much to learn! 7. HOW CAN YOU IMPROVE THE RETETION OF PROFITS – If you are up on the day, set a tighter stop loss to keep your profits, that could always be a solid idea right? There are many ways to retain profits, such as lowering your size after a strong winning streak in a day... but its also your job to think about how you could do this better! 8. WORK ON YOUR PREPARATION – Preparation is Key for success! If you fail to prepare, you prepare to fail! We prepare for a solid hour before we start to trade, there is value in this... so this weekend create your "preparation process" and put it to work! Ok we are done! Thanks for reading, but before we let you go we have a small request! If you come up with any good ideas that work for you, or have them already, please share them with us we'd love to learn from you too! Merry Christmas and all the best!
Editors' picks
Education
by PrimedGroup
79
Day trading NASDAQ and making over 9,000 on itHey traders! This is a short clip of a recap of the trades we've taken on NASDAQ / Us100 today. The video explains our strategy in brief detail and goes over the reasons why we traded NASDAQ long today (and we continue to do so towards the close of the day also). We are full time day traders, we only focus on day trading and we've recently made major update on our strategy, this video explains a little more regarding the strategy
OANDA:NAS100USDEducation
by PrimedGroup
Why Traders Suffer From Analysis Paralysis In TradingAnalysis-Paralysis In Trading This is an article I’ve been avoiding. Maybe it’s cos’ I’m guilty of it. You know, A bunch of knowledge makes—jack cross the rubicon. It’s December 1, 1990. ugh… what a glorious day! I mean—I’m grateful I survived. Are you? (rhetorically—cos’ I talk to myself a lot). Anyway, I finally get to attend “School of Candles” in Pretoria. South Africa is a great country but, only because they have one of the best—Trading schools in the world. Hashtag “respectfully” . I mean—Finally! Heh… I’m here. The Oakland… miserable red-collar guy is here. Can you believe it? Considering all the blown accounts and failed trades—I finally left the country to… South Africa. Pfft… Don’t mind my excitement—at least—I’m not sitting on my a*s reading this article because I have a problem. You are! i’m pretty sure you haven’t travelled out yet and it’s cos’ you keep losing. You’re a loser! At least… someone had to tell you. Don’t worry that makes two of us. Yeah—you and uh… you! Ugh… duh… I know you are not here for my—school of candles story. You’re here cos—you are stuck! Am I right? Anyway, I’ll help I promise. But, you have to promise me that I won’t be wasting my time. Do you promise? Okay—Great. So… Analysis Paralysis In Trading (What Does That Even Mean?) Look at them… so peaceful. Quick question—Have you ever really stopped to watch kids play? The laughter, glee, ambience, passion—so peaceful; so serene! These guys literally have nothing to worry about. Don’t you miss that? When last did you laugh? No… like actually laugh. These days—we have to watch a funny illiterate online to… crack up. How miserable can one’s life be? So sad; so depressing and why’s that? I don’t know about you—but, I miss those days. Nothing to worry about. You’re probably wondering, “What’s he on about?”… I just had to remind you of what your life (hopefully you’re still breathing)… is supposed to feel like. Before… I tell you how it actually feels like. That’s why you’re here right. Shucks. Analysis paralysis—wonder who comes up with these names. In a lame man’s term, it’s basically being paralyzed (not literally) from over-thinking. over-researching and over-analyzing… Why do we do these things; why do we even do anything. Imagine the thought of—mentally paralyzing yourself… Do you love yourself at all? Of course not—Humans (you reading this now) think of the possible worst for—every situation. Imagine… You go out and a complete stranger gives you money, from nowhere; out of the blue. What’s the first thing that comes to your mind? Be honest, Don’t lie. That’s what I thought. Anyway, Being completely mind-paralyzed is bad. I mean … have you seen—how they have to literally drive paralyzed people everywhere… They become furnitures (not trying to be insensitive); they really can’t do anything… on their own. You’ll end up—A furniture trader! Analysis Paralysis In Trading (How Can You Tell?) In school (school of candles), I attended every class. Wyckoff 101, Fibonacci 203 (borrowed course), Way of the candles, Price-action 105, Order blocks and Market structures 103, Supply and Demand, Indicators not manipulators… Weird ones! I took all. Trust me —I was a diligent student. But, I had no direction. I practically learned everything and anything. I mean—I wanted to be a great trader (don’t we all). The next class (Final year) required… Mastery. I realized that—sticking to one thing was a problem. Oh! No, I can’t choose. I literally attended all classes—just to find out what was best for me—even after taking these classes… in my first year. Hello Jane, I know this is kind of awkward… But, what’s your major? Uh… Order blocks. Imagine! I couldn’t even come up with something. What the H-E-L-L do you want Jamal? You’re just going round in circles. I couldn’t choose. Wanted to take action but, how could I? No one gave me the memo. I don’t even know what making decisions feels like. “Making Decisions” suddenly sounds like the strangest word in—the dictionary. So, tell me have you been in this position. All you keep doing is learning—anything; everything. But, no actions! Two ways you can tell: Can’t seem to make a decision. Always looking for a better solution—without actions! For analysis paralysis in trading It’s not something you can cheat. As a trader, You can’t go over or under it—Dealing with it is… the only solution. You keep delaying actions—whilst over-analyzing every situation. For this trader—you keep imaging downsides… Always the negatives; never positives. Imagine taking a trade—but, you’ve already imagined—300 scenarios of your plan going badly. Pfft… heh—who does that? Uh! you. You’re literally mentally paralyzed. What other options do you have than over-thinking everything. Are You Asking The Right Questions? Ta-ta… I envy them so much. Anyway, You learn to be in the comfort zone because… Why stress your brain till it’s paralyzed. Your brain is literally “yours truly”—It would always try to keep your safe. It will protect you, which is good. But, you become safe and unsuccessful. In trading, which do you prefer? Actually making a decision irrespective of the outcome or… staying out and avoiding everything. I mean if we’re being honest—the second option looks safe and comfortable. Will you choose that though? Remember you want to be rich; you want financial freedom. Even if you go through hell—do it without hesitations. Yup—That quote is a reference to the previous sentence. Eh… your lack of decision making will only make you—miss out on a million market opportunities. So, are you asking the right questions? When you literally ask yourself the right questions… It gives room for a clearer thought process and faster decision-making. Honestly though—Let’s blame google. An increase in options; an increase in choice. The fear of making the wrong choice arises. Then you become mentally paralyzed. Most traders today are stuck. I remember meeting a guy (Joe)—In one of my trading communities—in school. This guy found it hard to make a decision. Heh… So he buys and sells at the same time. Analysis paralysis in trading can make you a fan of gambling. But, there’s a solution… You can start by answering the right questions. What are the right questions? Is it worth the risk? Will it matter in 5 minutes? What was my first choice? Can you answer these questions? Make it a habit to answer these questions before—you take a trade. Not just trading—anything at all… Train that brain of yours. Is It Worth The Risk? You know some-times the best way to eliminate choices is to—know the risk attached to each choice. Imagine having a $50 account (your only money) and trying to take a trade. You’ll probably over-think every thing because—you just can’t lose that money. I mean… Heh—that’s all you have right? So, the first question should be… “If I take this trade, is it worth the risk”. Note that… you might lose—but, the keyword here is “risk”. How much are you willing to let go of?… That should be the first thought. Try this exercise and you have to be truthful—always!… If I was given $50 and I was told to give someone $5 (out of your $50)… Would I be okay with that? If you will, then you can decide to risk 10% of that account—knowing that you won’t feel bad if you lose. Ergo, You’ve just made a decision—because you eliminated your options. I mean losing 10% of $50 is better than losing all. Now what next? you need to eliminate all trades that will make you lose more than 10%. See, No mulling— just progress. Note that… Not all trades are negatives. But, we should always consider the risk. Will It Matter In 5 Minutes? Now you know the risk you’re willing to take, the next question is—Will it matter in 5 minutes? Ever heard of the “5 by 5 rule”? Well, the 5 by 5 rule states that—if you come across an issue take a moment to think—whether or not it will matter in 5 years. If it won’t, don’t spend more than 5 minutes stressing out about it. Forget the “5 years”—My own 5 by 5 rules is… don’t waste 5 seconds pondering over it, if it won’t matter in 5 minutes. Mine works right? I mean… 5 years is a pretty long period you know. By the way, the market waits for no man. The fact of the matter is, there are some problems that do not need your full attention. Why stress over some money you’re okay losing. If after 5 seconds you’re cool with it then—go ahead! Do me a favor. Let’s practice… Um—can you remember what you just did 5 seconds ago? If you can, it matters; If you can’t, “It’s irrelevant and doesn’t matter. There, fixed right! What Was My First Choice? The human mind is like a sick computer virus. It’s basically, randomly, just processing relevant and irrelevant informations and thoughts. You tend to have all these choices, thoughts and feelings all mixed up—especially during pressure. I was listening to Roger Khoury the other day and he said, “When driving a car in a—calm state—you’re basically just following the rules of the road right? But, what happens when you’re late for a meeting—You find yourself breaking all these rules.” Similarly… same applies to the market. You don’t have time; you’re supposed to make a decision—If not, the market leaves you. Then if you’re like me that attended all classes in—Pretoria, you probably don’t have a particular strategy. Different options; different opinions. What happens? You become paralyzed! All this can be avoided if you remember your first choice. Many traders fail to understand that our gut feelings, our instincts—matter. Where do instincts come from? In as much as the brain behaves sick sometimes—It also stores useful informations… knowingly or unknowingly. These useful informations are usually processed when needed. Do you ever know something and wonder—how you know that thing? It’s cos’ you probably already came across that stuff but, you ignored it. Cos’—It didn’t matter. But, look who wasn’t ignorant “your brain” yeah, remember… “Yours truly” loves you. Those first choices… are thought of for a reason. So, make them your last resort—always! Havoc Of Analysis Paralysis In Trading Hey guys, my name is Jamal and I’m a victim of Analysis Paralysis in trading … “Hey Jamal”… Sounds familiar. Yeah, group home. My encounter with Analysis Paralysis in trading wasn’t a great one. There were consequences. Each with its own baggage. After I narrowly graduated from the School of Candles, Pretoria. I mean I’ve learnt everything—I was ready for the market. On Tuesday, May 3, 1994, I deposited $50,000 to my trading account. As a graduate of School of Candles—what was the next thing? To get into the real world of trading . A nasty encounter in the market occurred. I found a GJ (gbp/jpy) trade, the daily had a bearish head and shoulder, the—4 hour, a double bottom. On my chart, I had Bollinger bands, Moving averages, Relative strength index… Name it. Yeah —I was that confused. Didn’t know if to—buy or sell. Oh! No, a clash of interest. My indicators… some gave me buy signals; others sell signals. Oh my God! What now? What’s the direction—Now I’m exhausted, tired, I can’t think straight! The market decides to buy… Yeah, I guess I’ll go long now. The sound your phone makes when you just placed a trade. Greedy old Jamal, used 2 standards for US30 on a $50,000 account. I was more than confident. The market does it thing. What! no… no… n0—Why is there a sell taking place now? No! The Havoc That’s it… That was so easy I lost it all. Everything! “What was the point of school then?” I thought. Useless! You’re so useless Jamal. You can’t get anything right. I couldn’t make a decision… My brain said, “Pause”. I was paralyzed and I failed. Three things happened to me: My trading performance reduced Creativity was gone. Couldn’t decide on a strategy and all patterns became useless. Lost my willpower. I couldn’t make a decision—too many options. Thank you for listening! “Thanks for sharing Jamal”. How To Overcome—Final Words Don’t ask me what I went to a group home to do. Analysis paralysis in trading affects you mentally—It builds into a habit and you become the hesitant trader. Do you remember him? That guy who couldn’t make decisions, that insecure coward. Yeah—that was who I became. June 23, 1994, I was in bed. Thinking, crying, staring—”What went wrong?”, I thought. How come… I mean i’ve gone to one of the best schools, learnt everything there is to learn, and graduated with a 2:1. So, what exactly is the problem. I discover that—I was. “Jamal you are the problem”—I discovered 6 things. These 6 things I’m going to tell you are very important. I’m telling you because—I love you. You shouldn’t follow my past; you shouldn’t make my mistakes. My mom’s teaching helped. Remember when she gave me the trading elements and principles… Steps To Overcoming This Nuisance. This is the truth; this is my truth. After a month I discovered that: You need to trust you. No one else opinion matters in the business of trading. It’s your business—You should mind it. Limit the amount of research (information you consume) you do. It’s called “learn and earn” for a reason—Not “Learn and continue learning”. Talk to someone. If you think you’re stagnant, you need to pour out all those information—on someone. Teach them! Perfection isn’t the key. Progress is! Know your end goal always. Notice every thoughts and emotions. If possible, write them down. If you follow this manual, you should never have reason to be stuck or mentally paralyzed. Remember sharing is caring! Tell someone about this article. Most traders have no idea what analysis paralysis in trading is.
OANDA:NAS100USDEducation
by lazyluchi
2
FOREX TRADERS: What are you going to do DIFFERENTLY in 2022?FOREX TRADERS: What are you going to do DIFFERENTLY in 2022? Amongst many many things that we can do differently is crucial to havea CLEAR PATH to follow in our Traders Development. As we are learning in the FOREX COURSE 101 we have the next steps: This is a simplistic approach for the DEVELOPING TRADER to grasp an understanding about where he or she is in his/her development. STEPS TO CHECK: 1. Learn technical Anlaysis with the understanding of probabilities; 2. Form a Strategy that is easy to obey, easy to understand and easy to execute; 3. Collect 100 samples = Confirm your Strategy´s EDGE (positive expectancy / av. winner must be bigger than av. loser) 4. ****if you want ***Add a System to your Strategy for Automation 5. Congratulations ! You area TRADER! 6. Give back to the Community or in Knowledge Or in Money! Merry Christmas and Happy New Year 2022 LOVE FXP
by RealFXBoss
1
Bitcoin's Market Cycle Explained Through Elliott WavesThis is an educational post on Elliott Impulse Wave structures, and how the theory can be applied to Bitcoin's chart, in order for us to identify the overall market trend. Disclaimer: This is not investment advice. This is for educational and entertainment purposes only. I am not responsible for the profits or loss generated from your investments. Trade and invest at your own risk. Basic Elliott Wave Structure - 80% of the time, an Elliott Impulse Wave would have a structure as the diagram demonstrated above. - After the first impulse wave, we have wave 2, which is a short term corrective wave, play out. - Most of the time, the second wave demonstrates a zig zag pattern, in which we can count ABC waves. - When the second wave is a zigzag, there's a high probability that the fourth wave demonstrates a complex correction, such as a double three (WXY), or a triple three (WXYXZ). - Also, when the second wave is a zig zag pattern, there's a high probability that the length of the third wave is 1.618x of the first wave's length. - In this case, there's also a high probability that the length of the fifth wave is equal to that of the first wave. - Keep in mind that these are all probabilities. There are no rules set in stone that state that waves have to move a certain way, in a certain length, but they tend to demonstrate this structure under certain conditions Bitcoin's Elliott Wave Structure - However, as you can notice from Bitcoin's Elliott Wave count chart above, Bitcoin's second wave did not demonstrate a zig zag pattern. - Instead, Bitcoin demonstrated a triple three (WXYXZ) leading to a sharp final drop caused by the Covid outbreak. - When the second wave demonstrates a triple three pattern, there's a high probability that the fourth wave demonstrates a zig zag pattern. - Also, when the second wave is a complex correction, there's a high probability that the third wave's length is 2.618x of the first wave's length. - Additionally, when the second wave is a complex correction, there's a high probability that the final wave's length is 1.618x of the first wave's length. Bitcoin Weekly Chart Elliott Wave Analysis - Taking into consideration the Elliott Wave structures explained above, we can now see that Bitcoin's trend can be explained by the second diagram. - We saw a complex correction (triple three, WXYXZ) pattern on Bitcoin's second wave. - We're currently completing wave 4, which seems to be a running flat pattern (ABC). - While this isn't exactly a zig zag pattern, it's a variation of the zig zag pattern, and part of the larger concept of simple corrections. - For a more in-depth explanation on this corrective trend for the short term, make sure to check out my previous analysis by clicking the chart below: Revealing My Secret Method: Technical Symmetry Analysis Summary I believe that there's an extremely high probability that Bitcoin's bull run isn't over. While December's price action may be rather disappointing, as we're in the process of completing the final corrective wave within a bigger impulse trend, we could expect a parabolic rally as we move towards Q1 of 2022. Using Elliott Waves isn't about accurately predicting the exact price and period of an asset's price action. While a lot of people try to correct each other on "wrong counts", unless the general rules are kept, there really isn't a strictly correct way or incorrect way of using this theory as a tool. In my opinion, Elliott Waves are best used on longer time frames, to identify the overall trend, and which point of the market cycle we are at.
COINBASE:BTCUSDEducation
by Michael_Wang_Official
16
Bitcoin on weekly timeframeHello to everybody! This is bitcoin analysis on weekly chart. Remember, wekly timeframes needs weeks or months for confirmation of some formation. Current situation We have 4 weeks of donwtrent. Today is closing weekny candle. BTC is currently trading around 49k. This close could be important for next move because now it's look like inside close candle. It means all candle is closing in previsous candle. If you check long-term situation you will see range between 35-58k. Middle pivot support is around 48k. This pivot could show us bearish or bullis side of this range. If weekly candle is above pivot support, then is still chance for next move up with target around 80-85k. In bearish case when weekly candle close below 35k then price could go down to 13 500k. According market data is still more chance to go up then go down. Remember, this is weekly analysis, it will take some time to confirm any trading setup. Safety trading!
COINBASE:BTCUSDLong
by UltimateCryptoTrader
2
Beating the rake - Know your trading feesLet’s talk about trading fees. This is an area that most people who trade don’t put enough thought into, but it can make a huge difference to your bottom line. This is especially the case when dealing with percentage based commissions in combination with leverage. Many people, especially those who mainly trade crypto, will be using services that charge percentage based commissions, with fees that can be as high as 0.5% ! But even if you’re trading at one of the more trader-friendly exchanges you’re likely to be paying in the region of 0.1% taker fees for spot trading and 0.04 - 0.06 % taker fees on futures. That sounds pretty cheap, right? 0.06% fee on a trade sounds almost negligible, which is why most casual traders don’t pay too much attention to it. Firstly though, you need to remember that this is the fee for both buying and selling, so for a round trip (buy and sell, assuming taker fee of 0.06% for each) you’re paying 0.12% Suddenly that starts to look a bit more significant, especially for short term intraday traders and scalpers. Let’s take a quick example. Let’s say you’re an intraday trader paying 0.06% taker fees on futures, and your typical Risk/Reward is aiming for a 1% gain and a 0.5% loss for an R of 2. The breakeven rate with an R of 2 is a 33.33% win rate, which is why many traders aim to trade this way. If they can achieve a win rate in the region of 50% they can be highly successful. But then we take your trading fees into account. That 1% average win becomes 0.88 % after your 0.12% round trip of taker fees. And your 0.5% average loss becomes 0.62 % after your round trip to fee-town. So now with an average win of 0.88% and average loss of 0.62% your R is down to 1.42! That means your breakeven win rate has changed from 33.33% to 41.33%! What if you’re aiming to catch even smaller percentage moves? If you were aiming for 0.5% average wins and 0.25% average losses for Risk/Reward of 2, but without considering fees, you might be in for a nasty surprise. Your average win would now be 0.38% and your average loss would be 0.37% after accounting for 0.12% round trip fees on all trades. The 2 R you were aiming for to require a 33.33% win rate actually becomes 1.02 R, requiring a 49.33% win rate to break even! And as a last example, let’s say you take a different approach. Perhaps you’re the type of trader aiming to take equal sized wins and losses but aiming for a 60 - 70% win rate to make your money. At 1% average win and loss (1 R), your wins become 0.88% and your losses become 1.12% after fees. Instead of a 50% break even rate you now require a 56% win rate just to break even! And if you aim for 0.5% average win and loss (1 R) your average wins become 0.38% and your losses become 0.62% after fees, requiring a 62% win rate to break even! Can you overcome those odds? The key takeaway here is that factoring trading fees into your trading plan is absolutely vital to understanding your risk/reward. The smaller the trading fees are as a percentage of your average trade, the less impactful the fees will be on your bottom line. To keep your trading fees small as a percentage of your average wins and losses, the simplest way is obviously to trade for larger average wins and losses, taking a swing trading approach with smaller position sizing. Alternatively, most exchanges/brokers will offer cheaper trading fees for “makers” using limit orders, as opposed to “takers” using market prices. This discount for maker fees will usually slash your fees by 50% - 80%. Many will also offer additional discounts for using a specific token for paying fees (e.g. BNB or KCS) or various discounts for VIP levels/tiers. Do not underestimate the value of these discounts, they can have a very substantial impact on your bottom line, especially if you are a short term intraday trader or scalper. Just a 50% saving on fees could be enough to turn a short term trader from a breakeven trader to a winning one.
BINANCE:BTCUSD.PEducation
by HayeTrading
1
Rules By Warren Buffett (Educational)Hello everybody, today, we are going to talk about Warren Buffett and his rules and advice. Who is Warren Buffett? In an abbreviation, he is an american businessman and investor with an property of over 100 billion dollars. He is an old-school, but in some way, his rules are really impressive and are working. He also wrote an preface for the best book ever written on investing, The Intelligent Investor by Benjamin Graham. 1. Reinvest Your Profits When you first make money, you may be tempted to spend it. Don’t. Instead, reinvest the profits. 2. Be Willing to Be Different Don’t base your decisions upon what everyone is saying or doing. Have your own reason to buy the stock. 3. Limit What You Borrow Buffett has never borrowed a significant amount — not to invest, not for a mortgage. In other words, if you can´t buy it twice, you can´t afford it. 4. Be Persistent A young boy who sold Coca-Cola for a nickel ended up being a majority shareholder of Coca-Cola. This transition does require persistence. Warren is an Realistic Optimist. He believed they will succeed but with planning, effort, and persistence even when times are tough. You don´t have to make deals every day, just watch markets and paper trade. 5. Know When to Quit Once, when Buffett was a teen, he went to the racetrack. He bet on a race and lost. To recoup his funds, he bet on another race. He lost again, leaving him with close to nothing. Buffett never repeated that mistake. 6. Know What Success Really Means Despite his wealth, Buffett does not measure success by dollars. In 2006, he pledged to give away almost his entire fortune to charities. 7. Stay In Your Circle Of Competence Imagine Circle with 3 layers. In the smallest layer, inside the circle, are things that you really know. In middle of circle are things that you think you know, but you don´t. And in an outer layer, the biggest one, are things that you don´t know. Warren recommends to stay in the smallest layer and just buy what you really understand. Otherwise it doesn´t mean that you have to be closed to every opportunities, but first of all, learn something about it. And this leads us into another topic: 8. Always Learn This is really important to understand, because you have to learn new things, that´s no rule, it´s an habit that you need to make. Learn about market every day, read articles, books, papertrade, watch youtube. In these days is super easy to learn something, all you need to have is good wifi connection and phone or notebook. Warren reads up to 500 pages every day. Try to beat him :) (good luck) 9. Two Legendary Rules These 2 rules are good to know, it seems really clear, but someone had to tell you: 1. Never Lose Money 2. Never Forget Rule Number One And that´s serious guys! Never lose money, that´s not your style. 10. Diversify When you are buying penny stocks, you have to buy one large-cap stock, because penny stocks are volatile and can drop to 0. It can make you big profits or big losses. With a large-cap stock, you will protect your portfolio from total crash, because large-cap stocks are not as volatile and as risky as penny stocks. You should diversify in sectors too. If in your portfolio are only oil companies and price of oil will go rapidly down, well, good luck. When you have money in oil companies, you should buy some stock from another sector, for example real estate or healthcare. Quotes By Warren Buffett „Cash was never a good investment." „I´d rather buy a wonderful business at a fair price, than a fair business with a wonderful price." „Big oppportunities in life have to be seen." „No matter how great the talent or efforts, some things just take time. You can´t produce baby in one month by getting nice women pregnant." End So, seems like we are at the end. Thanks for your effort to read it all, because my view is that it is really educational and you should know it. If you agree with me and Warren Buffett, please make sure you liked and i´ll see you again at another post. Have a nice day.
SP:SPXEducation
by TommyTK247
2
Bitcoin and How the Crypto Money FlowsHello Traders, Today I wanted to discuss something that will help you in your crypto trading journey. Today I wanted to give you an idea of how the money flows in and out of crypto. I am sure from time to time you have wondered why some coins moved the same as bitcoin and others moved when Bitcoin was going down. Well today you will understand that a little bit better. How Does Money Flow In Crypto? Fiat The Crypto Money Flow Cycle begins with Fiat. Whether that’s the US Dollar , the British Pound, or the Euro - cash is needed in order to make a cryptocurrency investment. Bitcoin The typical cryptocurrency investment will start with Bitcoin as it is the world’s most notable cryptocurrency. And as more investors dedicate a portion of their income/savings into Bitcoin , the price of the asset will rise. When Bitcoin’s price rises, it is at this point in time where investors are enjoying enough returns to start thinking about how they can build their wealth even more. Inevitably, they stand before the decision of whether to simply buy more Bitcoin… Or to allocate some of their funds and build exposure in other cryptocurrencies. These coins that are Alternative to Bitcoin (i.e. “Altcoins) are likely offered on the very same exchange where the investor bought their Bitcoin . Large Caps (i.e. predominantly Ethereum ) During Bitcoin uptrends, investors develop a growing need for a higher return on their cryptocurrency investment. Which is why they seek to diversify their funds into Altcoins like Ethereum . Ethereum is arguably the most well-known cryptocurrency as an alternative to Bitcoin and is often the next logical choice to building a diversified portfolio. And though a well-established platform by now, Ethereum is still a smaller cryptocurrency by Market Capitalization compared to Bitcoin . So theoretically, an investment in Ethereum carries more risk than an investment in Bitcoin would. On the flip side however, an investment in Ethereum would yield higher returns compared to a Bitcoin investment. This change in risk is important in the context of the Money Flow Cycle as it highlights not only how investors tend to lust for higher returns on their cryptocurrency portfolio but also how the risk appetite of these investors grows as the Bitcoin uptrend rises. Mid-Cap Altcoins That being said, many smaller Altcoin projects are built on Ethereum , which is why Ethereum is often heralded as the leading indicator for increases in the valuations of smaller Altcoins. When Ethereum appreciates in price, the prices of smaller Altcoins rally shortly thereafter. However, these Altcoins are less known by the general public and therefore attract less investor interest. For that reason, these Altcoins have a smaller Market Capitalisation compared to Ethereum , let alone Bitcoin itself. Compared to Large Cap Altcoins like Ethereum , Mid-Cap Altcoins have the potential to rally even higher when they generate interest from the cryptospace, generating a far higher Return On Investment while simultaneously carrying much higher risk than Large Cap Altcoins. Small Cap Altcoins Small Cap Altcoins are high-risk, high-reward investments and tend to rally exponentially at the very end of the Crypto Money Flow Cycle. As investors get in the habit of adopting more of a risk-seeking approach and circulating their profits into smaller and smaller Market Capped cryptocurrencies, inevitably they set their sights on higher-risk, higher-reward investments. Which is why these types of Altcoins tend to rally multiple the gains that Bitcoin or Ethereum offers such as 2x, 4x, 10x or even more. And as the prospect of reward in a seemingly never-ending uptrend appears evermore attractive, the risk appetite of investors imperceptibly grows alongside it. Low Caps are the last Altcoins to rally in a Crypto Money Flow Cycle as investors have no other coins to circulate profits to. In fact, many investors decide to book their profits at this time, securing their profits either in Bitcoin (if they’re trading Altcoin/ BTC pairs) or in Fiat (if they’re trading Altcoin/USD pairs). Back to Bitcoin or Selling into Fiat When Small Cap Altcoins rally exponentially (yielding investors a multiples-worth of a return on their initial investment in the process), this sort of euphoria-fueled buy-side pressure precedes one of two things: Money Flow back into Bitcoin or Money Flow back into Fiat. Should investor capital flow into Fiat, it is likely that a corrective period for cryptocurrencies will lie ahead as this is a moment in the cycle where investors secure their profits and de-risk completely from their cryptocurrency investments, causing asset prices to crash. However, sometimes this money flows back into Bitcoin , further fueling the uptrend and preceded further Money Flow back into Large Caps, Mid-Caps, and Small-Caps once again. Especially during bull markets, cryptocurrencies experience a handful of micro-Money Flow cycles within a larger, macro Money Flow cycle before enduring a market-wide corrective period where Money Flows out from the market and finally into Fiat. Now that you have a better understanding of how the money flows in and out of crypto you may have a better understanding of why different coins move at different times. As always, have a green week! Savvy
Long
by Savvythe1
4
Bitcoin "No Fear Support is Here"Hello Traders, Man, what a few crazy month amirite? Flash crash, FUD, China this, the SEC that.... It is hard on these crypto streets! Which is why I am going to make this simple for you all to be level headed. Every previous bull run that Bitcoin has been in, the price action has rode up a trend line for about half of the run before it really started to take off. as you see in the chart we are currently riding one in the same. The way that candle was eaten back up after that flash crash it is hard to think that we just keep dropping yet, it is important to plan for both ways. Personally, I am bullish until this support trend is broken. This looks to me like this run could last clear into 2022, maybe even 2023. I hope you all have a Green week and I will see you on the other side!! SAVVY
BITSTAMP:BTCUSDLong
by Savvythe1
5
Revealing My Secret Method: Technical Symmetry AnalysisIn this post, I'll be sharing a secret tip that I use to identify local tops and bottoms for Bitcoin. With that, I'll also demonstrate how that can be applied to Bitcoin's daily chart in order to explain where we're headed. Disclaimer: This is not investment advice. This is for educational and entertainment purposes only. I am not responsible for the profits or loss generated from your investments. Trade and invest at your own risk. The Technical Symmetry - The basic concept of what I refer to as the technical symmetry is as follows: - When we see an impulse, or a corrective move that makes a local high or local low, there's a high probability that it'll move up or down once again in the same proportion, regardless of the price action that takes place after a local top or bottom has formed. - For instance, take a look at the green arrows. We can see that after a small phase of accumulation, the price breaks out, and forms a local top near $42.5k. - While it does undergo a slight correction afterwards, we can see that the price continues to move upwards in the same direction, with the same degree of strength and momentum. - The key idea revolving this theory are market trends, and the strength and momentum behind the trend. - For corrective moves as well, we can also see how they can be applied to identify local bottoms with the arrows marked in red. Bitcoin Daily Chart Analysis - Now taking a look at Bitcoin's daily chart, we can see that the current corrective trend we're looking at (arrow D, orange), is very similar to the previous corrective trend (arrow B, red) in many ways. - Both moves demonstrated a dead cat bounce, and a huge bearish engulfing candle that left a huge downward wick - So using the technical symmetry theory, we can conclude that a move down to $37.8k is probable. - This level also aligns with the Fibonacci retracement support of 0.786 - In the previous correction, we also saw Bitcoin bottom out at the 0.786 Fibonacci retracement level, and accumulate as the price ranged between the 0.786 support and the 0.618 resistance. - As for this short term downtrend, I expect something similar to happen in terms of the price action. - If we were to break through $61k with strong momentum, and close above those levels on the daily, this scenario would be negated, and we would immediately resume to the bull rally. - However, I feel that such scenario is less probable. Thus, any bounce we see up to $61k, unless solid confirmation is provided, should be viewed as an opportunity to shave off bags that might be underwater, as they should be interpreted as technical bounces. - It's also important to understand that such price action on the daily makes sense in terms of the Elliott Wave theory, and Bitcoin's macro bull trend. - Simply put, we are currently in the process of finalizing wave C from a running flat pattern on the 4th impulse wave. Macro Elliott Wave Analysis - On the macro trend, not much has actually changed. - Despite the fear from market participants, the macro Elliott Wave count remains rather solid. - As mentioned above, we are currently in the 4th impulse wave, which seems to be a running flat pattern. Running Flat Pattern Explained - For those of you who don't know, a running flat pattern is a corrective wave that takes place, in which wave C completes at a higher price than wave A, due to the existing bull sentiment and buy momentum within the market. - The smaller counts on the daily chart, and the larger trend on the weekly chart suggest that we are merely in a corrective phase within a larger bull trend. - So going back to Elliott Wave counts, the current trading range on the daily (between $30k and $60k) suggests the following: - Since wave C must complete at a higher price point than wave A, the price cannot fall below $28.5k. - Even if the price were to drop to $30k, since it is technically still higher than the price at which wave A was completed, the count would be valid. - Taking into consideration the fact that this is a running flat pattern, there is no guarantee that we won't touch the untapped demand at upper $30k regions before we resume to a bull trend. Conclusion A lot of people are looking for a relief rally to take place, thinking that $47-49k ranges are good buy opportunities. However, knowing that wicks tend to get retested again, and that there's a high probability that we are in a running flat pattern, there's a high probability that we'll be retesting upper $30k regions, specifically the $37.5-37.8k zone as the final price floor before moving onto the fifth impulse wave of this cycle. This would be a scenario that bring maximum pain to market participants, and as such, meticulous risk management will be key to survival. If you like this educational post, please make sure to like, and follow for more quality content! If you have any questions or comments, feel free to comment below! :)
FTX:BTCUSDShort
by Michael_Wang_Official
35